Claiming the Canada Child Benefit (August 2019)
Raising children is expensive and, in recognition of that fact, the
federal government has, for more than half a century, provided
financial assistance to parents to help with those costs. That
assist...
Just a few questions about your tax return …. (August 2019)
While most Canadians turn their mind to taxes only in the spring
when the annual return must be filed (and then only reluctantly),
taxes are a year-round business for the Canada Revenue Agency
(CRA). ...
Claiming a deduction for moving expenses (July 2019)
The most recent estimate issued by the Canadian Real Estate
Association (CREA) is that close to half a million homes will be
sold in Canada during 2019. Since that number doesn’t include moves
f...
A mid-year check up on your taxes (June 2019)
Most Canadians have now filed their individual income tax return
for the 2018 tax year and received a Notice of Assessment outlining
their tax position for that year. Those who receive a refund will
c...
Canadian households set (another) new debt record (June 2019)
It’s the financial “achievement” no one wants to have, but
Canadians keep setting new records when it comes to the size of
their household debt. And, as of the last quarter of 2018, ...
New assistance for first-time home buyers (June 2019)
It would be entirely reasonable for Canadians seeking to buy their
first home to feel that the odds are very much against them, for a
number of reasons. Many of them, especially those in their
twentie...
Objecting to your 2018 Notice of Assessment (June 2019)
By May 20, 2019, the Canada Revenue Agency (CRA) had processed just
over 27 million individual income tax returns filed for the 2018
tax year. Just under 17 million of those returns resulted in a
refu...
New Quarterly Newsletters (May 2019)
Two quarterly newsletters have been added—one dealing with personal
issues, and one dealing with corporate issues....
Coming clean with the tax authorities (May 2019)
Although virtually no one looks forward to the task, the vast
majority of Canadians do file their tax returns, and pay any taxes
owed, by the applicable tax payment and filing deadlines each
spring. T...
Getting relief from the high cost of driving (May 2019)
As every Canadian driver knows, gas prices seem to rise every
spring, seemingly in lockstep with the warmer weather. This year,
that annual trend has been given an extra push by the
implementation of ...
Fixing a mistake in your (already filed) tax return (May 2019)
For the majority of Canadians, the due date for filing of an
individual tax return for the 2018 tax year was Tuesday April 30,
2019. (Self-employed Canadians and their spouses have until Monday
June 1...
Budget expands access to Home Buyers’ Plan (April 2019)
Both changes in the job market and increases in real estate prices
over at least the past decade have made the goal of home ownership
an elusive or even impossible one for many Canadians, especially
y...
What to do when you can’t pay your tax bill (April 2019)
Most taxpayers sit down to do their annual tax return, or wait to
hear from their tax return preparer, with some degree of
trepidation. In most cases taxpayers don’t know, until their return
is ...
Paying the taxman – how and when (April 2019)
Our tax system is, for the most part, a mystery to individual
Canadians. The rules surrounding income tax are complicated and it
can seem that for every rule there is an equal number of exceptions
or ...
When and how to file this year’s tax return (March 2019)
Each year, the Canada Revenue Agency (CRA) publishes a statistical
summary of the tax filing patterns of Canadians during the previous
filing season. Those statistics for the 2018 show that the vast
m...
It’s tax filing – and tax scam – season (March 2019)
For many years now, there has been a persistent tax scam operating
in Canada in which Canadians are contacted, usually by phone, by
someone who falsely identifies himself or herself as being a
represe...
What’s new on this year’s tax return? (March 2019)
While Canadian taxpayers must prepare and file the same form – the
T1 Income Tax and Benefit Return – every spring, that return form
is never the same from one year to the next. The one co...
More debt … and more interest (February 2019)
The fact that debt levels of Canadian households have been
increasing over the past decade and a half can’t really be called
news anymore. In particular, the ratio of debt-to-household-income,
w...
RRSPs and TFSAs — making the annual contribution (February 2019)
For most taxpayers, the annual deadline for making an RRSP
contribution comes at a very inconvenient time. At the end of
February, many Canadians are still trying to pay off the bills from
holiday spe...
Taking advantage of pension income splitting (February 2019)
Income tax is a big-ticket item for most retired Canadians.
Especially for those who are no longer paying a mortgage, the
annual tax bill may be the single biggest expenditure they are
required to mak...
Quebec Pension Plan Premiums for 2019 (January 2019)
The Quebec Pension Plan contribution rate for employees and
employers for 2019 is 5.55%, and maximum pensionable earnings are
$57,400. The basic exemption is $3,500....
Tax deadlines and limits for the 2019 tax year (January 2019)
Each new tax year brings with it a listing of tax payment and
filing deadlines, as well as some changes with respect to tax
planning strategies. Some of the more significant dates and changes
for indi...
Year-end planning for your RRSP and TFSA (December 2018)
Most Canadians know that the deadline for making contributions to
one’s registered retirement savings plan (RRSP) comes after the end
of the calendar year, around the end of February. There are,...
Lund & Associates is pleased to announce that Theresa MacDonald, CPA, CGA, has joined our practice as of January 2, 2019. Welcome Theresa!
2018 Personal Tax Rates
Ordinary Income
Dividends (Eligible)
Dividends (Ineligible)
Capital Gains
Up to $43,000
20.05%
0%
7.81%
10.03%
$43,000 to $46,600
24.15%
0%
12.57%
12.08%
$46,600 to $75,600
29.65%
6.39%
18.95%
14.83%
$75,600 to $86,000
31.48%
8.92%
21.07%
15.74%
$86,000 to $89,100
33.89%
12.24%
23.87%
16.95%
$89,100 to $93,200
37.91%
17.79%
28.53%
18.95%
$93,200 to $144,500
43.41%
25.38%
34.91%
21.70%
$144,500 to $150,000
46.41%
29.52%
38.39%
23.20%
$150,000 to $205,800
47.97%
31.67%
40.20%
23.98%
$205,800 to $220,000
51.97%
37.19%
44.842%
25.98%
Greater than $220,000
53.53%
39.94%
46.65%
26.76%
2018 Corporate Tax Rates
CCPC up to $500,000
13.50%
Ordinary corporate income
26.50%
Manufacturing and processing corporate rate
25.00%
Investment income
50.17%
Refundable portion of tax on investment income
30.67%
Net of refundable on investment income
19.50%
Dividend refund
38.33%
Tax on portfolio dividends
38.30%
Dividend gross-up (eligible)
38.00%
Dividend gross-up (ineligible)
16.00%
A New Consulting Division at Lund & Associates …
Services Relating to the Sale of a Business
We are excited to announce that we are expanding at Lund & Associates to include a consulting division to offer services relating to the planning for and actual sale of a business at a maximum value.
Valuing the business
Preparing the business for sale to maximize value
Minimizing risk factors for a purchaser that affect the ability to sell the business
Tax planning relating to the sale of a business
Preparing information documents to assist in the sale process
Identifying potential buyers and approaching the buyers
Assisting with the negotiation of terms to the point of a Letter of Intent
Coordinating document flow with banks/lenders involved in the business and sales transaction
Liaison with lawyers to assist in preparation of agreements
We have developed expertise in this area over several years as we have been working with owner-managers right through their business cycle from start-up to eventual sale of the business.
In most cases planning for the sale of a business should begin several years before the planned sale date.
If you, or anyone you know, are interested in discussing how we can help you prepare for the Sale of a Business, please contact Brad Lund at bradl@lundandassociates.com .
